Research On The Profit Model Of Xiaomi From The Perspective Of Ecological Chains

In this era of technology-led development,the Internet industry has entered a period of rapid development and gradually become the backbone of China’s national economic development.Under the background of this era,various industries have taken place in the external environment facing tremendous changes,in line with the mobile Internet is most cell phone companies,how to follow the wave of Internet development,using one of the things connected to change the enterprise profit model,in the increasingly fierce competition in the industry,the profit space is getting narrow bottleneck,develop new profit growth point,It is a problem worth paying attention to to protect the existing profits of enterprises from being invaded.Thesis mainly adopts the method of case study analysis of millet company profit model,in the process of analysis,found that millet company with its keen insight on the market found the tuyere of the Internet of things,and in early 2014 to chain layout,try to use the low price high quality smart phones and Io T life consumer products to increase the number of users and user viscosity,And through Internet services,the accumulated users will be cashed in,so as to achieve the purpose of improving corporate profits.Based on the analysis of the profit model,this paper comprehensively evaluates xiaomi’s profit model after its ecological chain layout from two dimensions,financial and non-financial.The financial dimension is mainly carried out from four aspects: profitability,growth of profit quality,cash availability and security.The non-financial dimension is carried out from the three aspects of ecological chain platform flow,the diversification of ecological chain enterprises and the market share of ecological chain products to ensure the objectivity of evaluation.The research results show that with the gradual deepening of xiaomi’s ecological chain layout,its profitability has been greatly improved,and its competitiveness in the industry has also gradually enhanced.In addition,this paper also provides some suggestions for reference for the later development of Xiaomi and the transformation and upgrading of profit models of other companies in the industry.